A bipartisan coalition of state attorneys general is urging Congress to reject a proposed measure that would prevent states from regulating artificial intelligence (AI) for a decade.Led by New Hampshire Attorney General John Formella, 40 attorneys general have signed a letter opposing an amendment in the budget reconciliation bill that would preempt state laws concerning AI and automated decision-making systems.

The Core Issue: State vs. Federal Oversight

The attorneys general argue that a federal moratorium would leave consumers vulnerable. Imposing a broad moratorium on all state action while Congress fails to act in this area is irresponsible and deprives consumers of reasonable protections, the letter states. This stance highlights a growing concern among state officials that the federal government is lagging in addressing the potential harms of AI.

States Leading the Charge

The attorneys general emphasize that states have been proactive in safeguarding citizens from the risks associated with emerging technologies. State AGs have stepped in to protect their citizens from a myriad of privacy and social media harms after witnessing, over a period of years, the fallout caused by tech companies’ implementation of new technology coupled with a woefully inadequate federal response.

With Congress slow to act,states are positioning themselves as the primary regulators of AI,addressing real-world harms as they arise. Many states have proposed diverse AI regulations,ranging from stringent guardrails to more permissive approaches.

Industry Concerns and Federal Inaction

Companies involved in AI development and deployment worry that a fragmented regulatory landscape could create compliance challenges. The absence of a unified federal framework exacerbates these concerns, leaving businesses to navigate a patchwork of state-specific rules.

The Proposed Moratorium: A Closer Look

The contested moratorium originated within the House Energy and Commerce Committee as part of the budget reconciliation process. Its fate now rests with the U.S. Senate, which has yet to consider the measure.

Attorney General Formella’s Stance

Formella has been vocal in his opposition to the proposed amendment.State attorneys general have led the way in protecting consumers from the harmful effects of unregulated A.I. This proposed amendment would undermine those efforts, stripping away critically important consumer protections without offering any solution to fill the void. I stand with my colleagues in urging Congress to reject this perilous provision, he said in a statement.

The Promise and Peril of AI

AI’s potential to revolutionize various sectors is undeniable. A.I. promises to revolutionize America’s economy, spur achievement and innovation, and improve lives across the country, Formella acknowledged. However,he also cautioned against the inherent risks,including explicit material and election interference to deception,exploitation,and harassment against consumers.

Any effort to prohibit states from enacting and enforcing laws aimed at regulating A.I. and protecting consumers will leave A.I. entirely unregulated at any level and Americans completely exposed to its known harms and evolving, real-world risks, ultimately leading to dangerous consequences for the American people.

Attorney General John Formella

Regional Unity

The attorneys general of all six new England states have joined the call for Congress to reject the proposed moratorium, demonstrating a united front on the issue.